Predictions estimate that there will be a big drop in the price of olive oil produced in Spain.
New, lower prices are expected to emerge between December and January as fresh harvests replenish storage tanks.
Supermarket prices for extra virgin olive oil have already fallen by 2.5% in Spain compared to last year according to data from consumer organization Facua, which analyzed shelf prices in six major supermarket chains. Spain produces more olive oil than any other country in the world, and exports much of their olive oil elsewhere.
Rafael Sánchez de Puerta, general manager of the Dcoop Group and president of Andalusian Agri-food Cooperatives, anticipates olive oil prices will settle around €5 to €6 per liter during the coming months. He explained that a larger supply, expected to start increasing from November, will drive this change.
“It will happen when there is olive oil available in quantity on the market,” he said, which he said would start to happen in November, as October closed with a production of 35,000 tons, which is considered a low number.
Sánchez de Puerta emphasized that final pricing will depend on three factors: the size of both domestic and global harvests, the recovery of olive oil consumption following price hikes, and sufficient rainfall to ensure a strong harvest next year.
The surge in olive oil prices isn’t limited to Spain. Eurostat reports that from January 2023 to February 2024, olive oil prices rose 70% in Portugal, 62% in Spain, 49% in Cyprus, and 63% in Greece. The price increase is due largely due a reduction in supply as olive harvests have dropped drastically, due in large part to global climate change.
in Greece, Olive oil prices are were at record highs last year. Greek producers are hoping for more favorable climate conditions and a better harvest this year.
